Procurement & Supply Chain


Negotiating a Supplier Contract Through the SRM Lens

Contract negotiations with a supplier is the point at which a business should begin building a positive relationship for the long term. The negotiation process is about much more than price. It is about developing a collaborative association to create value for the supplier and buyer.
— By Lena Haram

The supplier has been selected, and now it is time to negotiate the contract terms. The process is often approached as a negotiation over price when it should concern much more, including establishing a positive working relationship from the start. Price is just one factor, and focusing mostly on that one factor ignores the opportunities to develop the foun....